Opinion: Equity Stakes in Students?

Assistant Editorial Features Editor Kate Bachelder on a profitable new idea for financing college education and relieving students of debt. Photo: Getty Images

This transcript has been automatically generated and may not be 100% accurate.

... I ... I ... the ... still Concerto I'm Mary Kissel ... Eric is things are literally drowning in debt more than one point two trillion dollars of it ... is the wrong way to fix the problem ... the system features editor Kate Batchelder ... but yet it's only when there are really really fascinating idea I came ... through the chimney and what's a single out so I went on national TV in the comments and a professor at Vanderbilt business school Dean Niguel process and he is the creative force ... the high end up with all the income share of green ... on and this is the new way and ... an innovative way it's um exactly new Milton Friedman for skin of the pot ... on to pay for college and so imagine if the confounding ... taking out loans of students of promise an investor acts on on that income a small percent for a certain fixed period of time ... they would know exactly would know that they would be able to pay ... the payments should the they would know exactly what the pack ... so with this isn't my students to ... think was a little the harder about like the kinds of glasses that they're taking tell it's not exactly is so it would make it clear to students what a valuable program ends before it started when I was eighteen in choosing a college fund and you know you go to the best one that everyone tells you is great ... um this would be a way to send a strong signal to students about what they should be thinking about going into college so what this is Professor like in person is the kind of the absent minded genius with lots of books that the upgrading of what it what it what it looked like the other someone might think that that is actually incredibly fascinating dynamic interesting I definitely ... just as much an entrepreneur as an economist and Mary is not only did some research on these topics ... he co founded a startup that is done this for five thousand students mostly in Latin America also has put his money where is nothing ... that ... actually comes with audiences can work and see it happen for you so convinced that you we do this yourself if you were doing all over again going to college well I can do that with the graduate school it works for all types of programs is once you think it's gonna get good investments are absolutely other than going and said that when I don't know exactly if I'll be able to repay debt and give the same freedoms that and say that you don't have the same worries and Birch is there any of regulatory barriers year Discover set to pass a law will what needs to happen for this to the National Mall Congress seems to lay out the legal and regulatory framework because right now it's not clear from the rules would come from what they would be ... on that ... cost the government very much or take very much time and progress ... on its every now there's the bill in joint bill by Senator Rubio and repeat Ryan house ... I've that would basically just laid out the rules of the game for eye and say so that as many firms that want you can jump in to get started ... I it doesn't since the end of the house to do with it just ... to see if you wanna do this here's how it'll be treated by the government and that's very important time to get clear before ... a big market cap well you it's a fascinating interview assisted features editor Kate Batchelder with the